BUSINESS PLAN PRESENTATION SUMMARY

1. AN OUTLINE OF BUSINESS PLAN
PRESENTATION: A CASE OF WUMI SOAP
1
INDUSTRY
BY
Rafiu Akinpelu Olaore
Senior Lecturer in Entrepreneurship Education
Osun State Polytechnic, Iree, Nigeria
olaoreakin@yahoo.com

2. EXECUTIVE SUMMARY
Name: Wumi Soap Manufacturing Industry
The firm: startup
Product : Medicated Soap
Location: Osun Communal District, Nigeria.
Type : Sole Proprietorship
Goal : Customer service and growth
Finance : Owners equity = N2.1million(8050USD)
Strategy: 7 P’s of Marketing
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3. BUSINESS DESCRIPTION
*A small firm of sole proprietorship, producing medicated
soap with the objective of annual sales target and
specific measures of customer satisfaction and to gain
competitive edge. A family business which has its
finance from owner’s equity, personal savings and
friends
*The five working team are experts in management,
production and marketing. Firm plant is situated in an
inherited building at the center of town with infrastructure
advantages.
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4. 4
MARKETING
• Research and Analysis:
- Primary research used for market
scanning. Market survey by direct
interview.
- Target Market: 7 rural communities
- Market size: Approximate of 3.5m people
- Competition: Two local competitors
- Market share: 45%

5. 5
Marketing
• Research and Analysis
- Marketing Plan: Positioning and
Competitive edge
- Marketing Strategy: 7 Ps of Marketing mix;
Product, Placement, Promotion, Price,
People, Positioning, Packaging.
- Pricing Policy: Penetration pricing

6. 6
Operational Plan
• Location: 21, Ota Efun, Osogbo, Osun
Communal District, Nigeria. Family building on 3
plots of lands.
• Advantages: Availability of Infrastructures- electricity, good
linkage roads, accessibility to low transports cost, water supply,
nearness to communities and suppliers, car parks etc.
• Production Method: Saponification process-
PKO, Caustic soda, colouring, perfume, tryglyceride etc
• Business Hours: 7am -6pm

7. Legal Environment
• Establishment by registration with Nigeria
Corporate affairs Commission and National
Foods and Drugs Administration and Control
(NAFDAC)
• Government plan to cancel excise duties on
imported raw materials.
• Aids from Government by liaison with Nigeria
Bank of Industry to purchase soap production
machines from Selas in Germany at lower rates.
• Low tax rate for startup.
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8. MANAGEMENT PLAN
• Management team:
- General Manager/Production (1). This is the proprietor of
the firm in charge of general administration and
production control.
- Production Officer(1). Full time staff for production and
other relative duties
- Marketing Officer(1). Liason with GM to Conduct market
research, marketing plan and cost implication, customers
outreach, competitive strategy etc
- Sales Representative (2), part time. Responsible to
marketing officer, customer relations, retails outlets etc
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9. 9
PROJECTED FINANCIAL STATEMENT
PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED DEC. 31ST 2012
Sales Revenue N3,670,000
Less: Sales returns and Allowances 30,000
Net Sales N3,640,000
Cost of Good Sold
Beginning Inventory, Jan, 2012 90,000
Purchases 1,170,000
Goods available for Sale 1,260,000
Less: Ending Inventory, Dec., 2012 170,000
Cost of Good Sold N1,090,000
Gross Margin N2,550,000
Operating Expenses
Selling Expenses 65,000
Administrative expenses 191,000
Salary 1,800,000
Depreciation 25,000
Miscellaneous 95,000
Total Operating Expenses 2,176,000
Income before Tax 374,000
Estimated Income Tax (10%) 37,500
Net Profit 336,500

10. PROJECTED CASH FLOW STATEMENT
MONTH 1 2 3 4 5 6 7 8 9 10 11 12
SALES
280 308 336 364 392 420 448 476 504 532 560 588
CASH
FLOW
Expenses 180 190 175 190 167 300 375 295 320 330 330 370
Balance 100 118 161 174 225 120 73 181 220 202 230 218
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11. 11
Conclusion
• The idea was born out as a result of my
experience in the industry and interest in
provision of good health for the masses,
therefore, I am of the opinion that this firm
will grow beyond imagination.
THANK YOU